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Kotz Technology Achieves Double-Digit Growth in Sales and Profits in the First Half

Kotz Technology Achieves Double-Digit Growth in Sales and Profits in the First Half

Kotz Technology, a company specializing in defense industry embedded systems based on single-board computers (SBC), led by CEO Cho Jiweon, announced its financial results for the first half of 2025 on August 14.


According to the results released by Kotz Technology, cumulative sales for the first half reached KRW 27.4 billion, operating profit was KRW 3.4 billion, and net profit was KRW 3.0 billion. These figures represent year-on-year increases of 24%, 48%, and 53%, respectively, demonstrating robust growth. The company also continued its growth trajectory in the second quarter, with sales of KRW 14.0 billion, operating profit of KRW 1.4 billion, and quarterly net profit of KRW 1.3 billion, marking increases of 7%, 17%, and 26% compared to the same period last year and maintaining stable performance growth.


The main drivers of this sustained growth include the first batch of K2 tank exports to Poland and the expansion of domestic mass production orders. Exports to Poland are proceeding stably under a long-term supply contract spanning several years, while the domestic mass production segment is also steadily expanding shipments in line with major defense project schedules. This expansion of both domestic and international supply is positively impacting not only sales growth but also improvements in production efficiency and profitability.


Additionally, the company has built a diversified order portfolio across various fields such as maneuver firepower, guided weapons, command and control, maritime, and aviation, which is supporting its stable growth. A well-balanced order structure by sector reduces dependence on any single business and provides a foundation for flexible responses to changes in domestic and international market environments. As a result, the company expects to secure both stability and sustainability in its future sales.


Kotz Technology plans to strengthen its technological competitiveness and expand its presence in the global market by enhancing R&D capabilities and upgrading production facilities. In particular, the company intends to actively pursue new overseas projects and defense businesses based on long-term supply contracts, aiming to diversify revenue streams and maintain a stable growth trajectory.


Currently, the company’s order backlog continues to grow in line with increased exports from major domestic and international clients, and demand for its core business-embedded systems for defense-is also expected to remain on a steady growth path. Kotz Technology recently acquired a new office building in Gwacheon to expand its R&D hub and production facilities, and based on this, plans to accelerate development and investment to enhance technological self-sufficiency and strengthen product competitiveness.


Cho Jiweon, CEO of Kotz Technology, stated, "These results reflect the stable orders and long-term supply contracts built on trust with our domestic and international clients," adding, "In the second half of the year, we will continue to enhance our technological competitiveness and maintain stable growth by strengthening R&D capabilities and improving production efficiency."


© The Asia Business Daily(www.asiae.co.kr). All rights reserved.


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